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Wyoming’s Select Committee on Gaming has unanimously backed draft legislation that would ban online sweepstakes games in the state and make operating an online sweepstakes gaming platform a felony.
The proposal is not yet law. It would still need to be introduced, passed by the Wyoming Legislature, and enacted before any change takes effect. The debate is part of a broader push by Wyoming lawmakers and regulators to define what counts as illegal gambling as wagering activity continues to grow in the state.
What the Wyoming proposal would do
Wyoming already prohibits online casinos, while online sports betting and fantasy sports are legal. Supporters of the draft said the new bill would remove uncertainty around sweepstakes-style products.
Wyoming Gaming Commission Executive Director Nicholas Larramendy told lawmakers that complaints about sweepstakes casinos can move back and forth between his agency and the Consumer Protection and Antitrust Unit. He said the bill would make the state’s position clearer, adding: “So this bill definitely makes it very clear that this is illegal gambling.”
According to figures Larramendy presented, players wagered about $2.7 billion across Wyoming’s legal forms of gambling last year, and the state could top $3 billion in wagers this year.
Industry pushback focuses on broad language
The draft also drew opposition from industry representatives who argued that sweepstakes casinos and traditional online casinos are not the same product.
Former Wyoming state Sen. Affie Ellis, now an attorney representing Bally’s Corporation, said the two can look similar but operate differently. VGW attorney Bill Gantz argued the proposal is too broad and could conflict with sweepstakes tied to the purchase of goods or services that are currently valid in Wyoming.
“This is over broad and it does conflict with the idea that a sweepstakes in connection with a purchase of a good or service is currently valid in Wyoming and should remain valid in Wyoming,” Gantz said.
What players and industry watchers should watch next
For now, nothing changes for players or operators unless the draft becomes law. The key questions are whether the measure will be introduced in the next legislative session, what final language would say about lawful promotional sweepstakes, and how any felony penalty would be defined and enforced.
The issue is part of a wider state-by-state debate. New Jersey signed legislation prohibiting sweepstakes casino operations into law last year, and Wyoming lawmakers are now weighing whether to follow with their own ban.
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Source: As reported by gamingamerica.com.
